SoFi, Kraken Tie Banking Rails to Crypto Infrastructure for 24/7 Dollar Settlement
Summary
- SoFi Technologies and Payward said they signed a strategic partnership to connect banking payment rails with cryptocurrency trading infrastructure.
- Kraken’s institutional clients will be able to use a 24/7 US dollar settlement system through SoFi’s real-time payment network, the SoFi Exchange Network (SEN).
- Payward will list SoFi-issued dollar stablecoin SoFiUSD on Kraken, and the companies plan additional business cooperation in custody services, payments, treasury management and lending.
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SoFi Technologies is partnering with Payward, the operator of cryptocurrency exchange Kraken, to connect banking payment rails with crypto trading infrastructure.
The US fintech company announced the strategic partnership on September 3. The tie-up is designed to link bank payment networks with digital-asset markets.
Under the agreement, Payward will join SoFi’s real-time payment network, the SoFi Exchange Network, or SEN. Kraken’s institutional clients will be able to use a 24/7 US dollar settlement system regardless of bank operating hours.
SEN is currently available to SoFi’s corporate clients. The partnership is focused on helping businesses and institutions settle and clear dollar transactions in real time, rather than enabling person-to-person transfers.
Payward will also list SoFi-issued dollar stablecoin SoFiUSD on Kraken. SoFi will use Kraken Prime, Kraken’s institutional prime brokerage service, as an additional source of liquidity for crypto trades executed on its app.
The companies are also considering expanding the partnership into custody services. They plan additional cooperation in payments, treasury management and lending.
